Time Warner Takes $25 Billion Loss

Time Warner will record a $25 billion charge in Q4 of 2008, leading to an operating loss for the period, the Associated Press reports. The charge results from losses in the company's cable, publishing and AOL units; Time Warner Jeff Bewkes says the conglomerate will complete its spin-off of cable in early 2009. The company now predicts a loss for the year, downgrading projections of a small profit. Meanwhile Time Warner Cable extended a deal to carry CBS TV stations and Showtime programming through 2013, CBS said on Tuesday. The agreement comes days after sister company Viacom Inc. nearly pulled its cable stations from Time Warner's 13 million homes after sparring over a separate deal. Tension is high between networks and cable operators. CBS's Les Moonves wants cable operators to pay his network for the right to carry its stations, but a source told Reuters that this is not in the deal.